CME Group Unveils FX Market Profile Powered by EBS Quant Analytics
- FX Market Profile helps analyse execution efficiencies by benchmarking against CME's FX futures and EBS's spot markets.
US derivatives exchange, CME Group has launched an FX analytics tool in a bid to help traders monitor price relationships and compare FX listed futures and spot Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term on one screen.
The new suite, dubbed FX Market Profile, is intended to enable users to assess the quality of their historical execution, conduct comparisons of liquidity providers and make better-informed trade decisions. The comparison aims to help FX traders ensure the best execution across different strategies by benchmarking their performance against CME's listed FX futures and EBS's spot trading markets.
The FX Market Profile tool is powered by EBS’ Quant Analytics platform, which offers insights to analyse trade flows and execution efficiencies, as well as the ability to benchmark performance against others in CME Group’s electronic trading business.
Additionally, this integration provides FX Market Profile users with data through streams of trade information, market impact and alpha calculations via the EBS Quant Analytics platform.
With prices for 11 currency pairs, the FX Market Profile tool will provide clients with greater transparency and help them to uncover new trading opportunities, the exchange operator said.
CME Group has been expanding its foreign exchange offering, having recently launched a new FX options volatility converter tool. The tool extracts market price data from the exchange’s central limit order book that is already functionally equivalent to OTC options and then creates a volatility grid by tenor and deltas for comparison purposes.
"Synchronizing and displaying two of the largest primary FX markets side by side on a single platform highlights the complementary nature of the EBS spot and listed FX liquidity pools," said Paul Houston, Managing Director, FX Products at CME Group.
"From a Risk Management Risk Management One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class, One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class, Read this Term and trade execution standpoint, this tool demonstrates where clients can achieve best execution for their FX trades. The tool provides data to help traders determine the optimal time of day to transact in either market, calculate execution efficiencies, determine slippage costs and minimize the market impact of trades," added Jeff Ward, Global Head of EBS.
US derivatives exchange, CME Group has launched an FX analytics tool in a bid to help traders monitor price relationships and compare FX listed futures and spot Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term on one screen.
The new suite, dubbed FX Market Profile, is intended to enable users to assess the quality of their historical execution, conduct comparisons of liquidity providers and make better-informed trade decisions. The comparison aims to help FX traders ensure the best execution across different strategies by benchmarking their performance against CME's listed FX futures and EBS's spot trading markets.
The FX Market Profile tool is powered by EBS’ Quant Analytics platform, which offers insights to analyse trade flows and execution efficiencies, as well as the ability to benchmark performance against others in CME Group’s electronic trading business.
Additionally, this integration provides FX Market Profile users with data through streams of trade information, market impact and alpha calculations via the EBS Quant Analytics platform.
With prices for 11 currency pairs, the FX Market Profile tool will provide clients with greater transparency and help them to uncover new trading opportunities, the exchange operator said.
CME Group has been expanding its foreign exchange offering, having recently launched a new FX options volatility converter tool. The tool extracts market price data from the exchange’s central limit order book that is already functionally equivalent to OTC options and then creates a volatility grid by tenor and deltas for comparison purposes.
"Synchronizing and displaying two of the largest primary FX markets side by side on a single platform highlights the complementary nature of the EBS spot and listed FX liquidity pools," said Paul Houston, Managing Director, FX Products at CME Group.
"From a Risk Management Risk Management One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class, One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class, Read this Term and trade execution standpoint, this tool demonstrates where clients can achieve best execution for their FX trades. The tool provides data to help traders determine the optimal time of day to transact in either market, calculate execution efficiencies, determine slippage costs and minimize the market impact of trades," added Jeff Ward, Global Head of EBS.